Interest Rates Drop to Record Lows for Home Loans in San Diego
Today represents a truly unique time to buy a home! Interest rates have dropped to almost all time record lows for San Diego home loans. Most buyers are now qualifying for rates in the 4.875% range on the 30 year fixed. This is truly a fantastic time to buy a home considering this low interest rate environment, the $8k home buyer credit being extended, and all the great low priced homes that are also available. But it is important that all buyers understand that these low rates for San diego home loans will more than likely go up next year, probably by summertime and here are the reasons why.
As you may or may not know, the Federal Reserve are actively buying mortgage backed securities in record amounts to artificially lower rates down to record lows, so they can continue to kickstart a weak housing market. But they have advised they will stop buying these securities come the end of the first quarter next year, alll experts are predicting rates to jump back over 6% once the manipulation of rates is over. They have actually started easing the buying of these securities in the past 60 days, so there is not a drastic market reaction once they do offically stop buying the securities next year. If you have been thinking of buying recently, do not think twice right now because it is highly unlikely we will see these rates again in decades if not our lifetimes.
As it takes ususally 60-120 days to find a home, get in contract and then close on the transaction, it would be a good idea to begin the home buying the process soon. To receive the $8k home buyer credit, you need to be in contract by April 30th 2010. If you are looking for more information on how to obtain a home loan in San Diego, please contact me directly at 858-200-9602. Or you can visit my website at www.michaeladeery.com.
Sincerely
Your mortgage planner
Michael Deery
Tags: home loan San Diego, home loans in san diego, interest rates san diego, mortgage san diego, San Diego home loan, san diego mortgage
This entry was posted on Saturday, November 28th, 2009 at 11:40 pm and is filed under Interest Rates. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.